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BIDPA suggests ISPAAD reform

BIDPA suggests ISPAAD reform
 
BIDPA suggests ISPAAD reform

BIDPA feels that the programme should target poor households as opposed to being universal to drive the social objectives of food security and poverty reduction. Further, the report suggests the commercialisation aspect be pursued only in geographical areas where there is proven potential for viability and where the use of seasonal inputs may be sustained beyond the programme.  The policy think tank’s report, which came out last week, focussed on the impact of ISPAAD input subsidy programme on the subsistence economy in Botswana.

Since 2008, government has spent upwards of P600 million each year on ISPAAD in the interests of increasing grain production, promoting food security at the household and national level and supporting the rural economy. Despite the positive impacts, ISPAAD has not been cost-effective, since public expenditure on the programme has exceeded the value of crops produced.  By all indicators, the programme has not reaped any dividends for the investment. The value of crop output was equivalent to 51% of total expenditure on the programme. Additionally, the value of additional output produced due to the programme was recorded only at 26% of public expenditure on the programme.

 Frequent droughts have devastated harvests, while imprudent farming methods and crop selection have worsened matters. Meanwhile, audits into the inputs programme have uncovered widespread illicit conduct and exploitation of the system, with ‘cowboy contractors’ abusing loopholes and weaknesses in the programme to bilk the government of millions each season. According to the BIDPA report, ISPAAD is not compatible with the design principles of smart input subsidy espoused by AU member states and does not target the poorest of the poor and most vulnerable families not using modern inputs.  “Due to its tender procurement system, and the involvement of government in input distribution to extension areas and farmers, the programme has failed to promote the development of private input supply network linking frames with input suppliers,” stated the report.  “ISPAAD has no sunset clause, a situation that may lead to the programme being hijacked by political interests,” read the report.